Criminal and Civil Enforcement

December 2011

December 29, 2011; U.S. Department of Justice

GE Healthcare Inc. Pays Us $30 Million to Resolve False Claims Act Allegations
GE Healthcare Inc. has paid the United States $30 million, plus interest, to settle allegations that a company it acquired in 2004, Amersham Health Inc., had violated the False Claims Act by causing Medicare to overpay for Myoview, a radiopharmaceutical used in certain cardiac diagnostic imaging procedures, the Justice Department announced.

December 21, 2011; U.S. Attorney; Southern District of Texas

Former DME Company Owner Lands in Federal Prison for 12 Years
HOUSTON - Benjamin Essien, the former owner of Durable medical Equipment (DME) companies Logic World Medical and Roben Medical in Houston, has been sentenced to 145 months in federal prison for defrauding the Texas Medicaid program, United States Attorney Kenneth Magidson announced today along with Texas Attorney General Greg Abbott. During sentencing this morning, U.S. District Judge Grey Miller explained that the Medicaid beneficiaries whose identities had been unlawfully used to defraud the government, were also to be considered victims of the scheme to defraud.

Justice Department Recovers $3 Billion in False Claims Act Cases in Fiscal Year 2011
WASHINGTON - The Justice Department secured more than $3 billion in settlements and judgments in civil cases involving fraud against the government in the fiscal year ending Sept. 30, 2011, Tony West, Assistant Attorney General for the Civil Division, announced today. This is the second year in a row that the department has surpassed $3 billion in recoveries under the False Claims Act, bringing the total since January 2009 to $8.7 billion - the largest three-year total in the Justice Department's history.

Pharmacy Technician Pleads Guilty to Conspiring to Commit Health Care Fraud
McALLEN, Texas - Valerie Jean Flores 38, of Mission, Texas, has been convicted of conspiracy to commit health care fraud, United States Attorney Kenneth Magidson announced today along with Texas Attorney General Greg Abbott. Flores was formerly employed a senior pharmacist technician by Sara Elicia Garza, 55, also of Mission - a pharmacist and owner and operator of Sara's Pharmacy and Gift Corner located in Mission.

Philadelphia Doctor Charged With Running Pill Mill
PHILADELPHIA - A 23-count Indictment was returned and four Informations were unsealed today charging a total of eight defendants, including Philadelphia physician Dr. Kermit B. Gosnell and members of his former staff, in a drug conspiracy case. Gosnell is charged with illegally prescribing highly-addictive painkillers and sedatives outside the usual course of professional practice and not for a legitimate medical purpose, along with related charges.

Co-owners of Pocatello Physical Therapy, P.A. Sentenced in Federal Court
POCATELLO - The co-owners of Pocatello Physical Therapy, P.A., were sentenced in U.S. District Court today for altering records in a federal health care audit, U.S. Attorney Wendy J. Olson announced. Dan DesFosses, 65, and Colin "Ric" Benedetti, 58, both of Pocatello, appeared before U.S. District Judge Edward J. Lodge at the federal courthouse. DesFosses and Benedetti were each sentenced to three years of probation. DesFosses was fined $1,000 and ordered to pay $9,757.66 in restitution. Benedetti was ordered to pay $2,442 in restitution. Both will be required to do 300 hours of community service.

December 12, 2011; U.S. Attorney; Western District of Missouri News Release

KC Woman, St. Louis Man Plead Guilty To Medicaid Kickbacks
KANSAS CITY, Mo. - Beth Phillips, United States Attorney for the Western District of Missouri, announced that a Kansas City, Mo., woman and a St. Louis, Mo., man pleaded guilty in federal court today to kickbacks that were paid to refer Medicaid patients to a non-emergency medical transportation business.

Houston Federal Jury Returns Guilty Verdicts in Health Care Fraud Trial
HOUSTON - Kelvin Washington, 48, of Houston, has been convicted on all counts of health care fraud, conspiracy and violations of the anti-kickback statute charged against him, United States Attorney Kenneth Magidson announced today. The verdicts were returned less than an hour ago after six days of trial and three and a half hours of deliberation.

December 7, 2011; U.S. Attorney; Eastern District of California

Two Healthcare Systems Pay $2.3 Million Collectively To Settle Overpayment Claims
SACRAMENTO, Calif. - United States Attorney Benjamin B. Wagner announced that Catholic Healthcare West has paid $875,564 and Sutter Health Association has paid $1,433,509 to the United States to settle allegations that certain of their affiliate hospitals overcharged the government for infusion therapy and lithotripsy services.

Gaithersburg Man Sentenced For Possessing Child Pornography
Greenbelt, Maryland - Chief U.S. District Judge Deborah K. Chasanow sentenced Andrew Liang, age 26, of Gaithersburg, Maryland, today to a year and a day in prison followed by five years of supervised release for possessing child pornography. Chief Judge Chasanow ordered that Liang pay a fine of $10,000 and that upon his release from prison, Liang must register as a sex offender in the place where he resides, where he is an employee, and where he is a student, under the Sex Offender Registration and Notification Act (SORNA).

Palmview, Texas, Siblings Convicted of Health Care Fraud Conspiracy
McALLEN, Texas - A co-owner and manager of a McAllen-area durable medical equipment (DME) business have both pleaded guilty to conspiracy to commit health care fraud for their roles in a scheme to defraud Medicare and Medicaid through fraudulent billings for power wheelchairs, United States Attorney Kenneth Magidson announced today.

St. Louis-Based KV Pharmaceutical to Pay $17 Million to Settle False Claims Allegations
WASHINGTON - KV Pharmaceutical Company, which was the St. Louis-based parent company of now-defunct Ethex Corporation, will pay $17 million to resolve False Claims Act allegations that Ethex failed to advise the Centers for Medicare and Medicaid Services (CMS) that two unapproved products did not qualify for coverage under federal health care programs, the Justice Department announced today. Ethex is alleged to have submitted false quarterly reports to the government related to a pair of drugs, Nitroglycerin Extended Release Capsules (Nitroglycerin ER) and Hyoscyamine Sulfate Extended Release Capsules (Hyoscyamine ER).

Pennsylvania Hospice to Pay U.S. $10.56 Million Settlement
The United States Attorney's Office for the Middle District of Pennsylvania, and the U.S. Department of Health and Human Services, Office of the Inspector General, announced today that Diakon Lutheran Social Ministries d/b/a Diakon Hospice Saint John (Diakon) has agreed to resolve its liability for violations of the False Claims Act (FCA) by paying the United States $10.56 million.

November 2011

November 30, 2011; U.S. Department of Justice

Pompano Beach, Fla.-Area Assisted Living Facility Owner Pleads Guilty to Fraud and Kickback Scheme
WASHINGTON - The owner and operator of a Pompano Beach, Fla.-area assisted living facility pleaded guilty today for his role in a Medicare fraud kickback scheme that funneled patients through a fraudulent mental health company and a Medicaid fraud scheme that billed for assisted living services that were never provided, announced the Department of Justice, the FBI, the Department of Health and Human Services (HHS) and the Medicaid Fraud Control Unit (MFCU) of the Florida Office of the Attorney General.

November 29, 2011; U.S. Attorney; Southern District of Texas

Local Music Producer and Club Owner Convicted on Multiple Federal Charges
HOUSTON - Julian Kimble, 46, has pleaded guilty to conspiracy to commit healthcare fraud, conspiracy to commit money laundering and tax evasion, United States Attorney Kenneth Magidson announced today. Kimble is the owner of Pearl Records and Pearl Entertainment and investor in Grooves Restaurant & Lounge.

U.S. Pharmaceutical Company Merck Sharp & Dohme to Pay Nearly One Billion Dollars Over Promotion of Vioxx®
WASHINGTON - American pharmaceutical company Merck, Sharp & Dohme has agreed to pay $950 million to resolve criminal charges and civil claims related to its promotion and marketing of the painkiller Vioxx® (rofecoxib), the Justice Department announced today. Under the terms of the resolution, Merck will plead guilty to a one-count information charging a single violation of the Food Drug and Cosmetic Act (FDCA) for introducing a misbranded drug, Vioxx®, into interstate commerce. Under the terms of its plea agreement with the United States, Merck will plead guilty to a misdemeanor for its illegal promotional activity and will pay a $321,636,000 criminal fine.

November 22, 2011; U.S. Department of Justice

United States Files Complaint Against BestCare Laboratory Services Alleging False Claims for Medicare Funds
WASHINGTON - The United States filed a complaint against BestCare Laboratories, Inc. and its founder and principal, Karim A. Maghareh, in the U.S. District Court for the Southern District of Texas, the Justice Department announced today. The suit alleges that the defendants knowingly misrepresented the distances traveled by its lab technicians to artificially increase reimbursement from Medicare for mileage-based technician travel allowance fees.

November 21, 2011; U.S. Attorney; Southern District of Florida

Miami Man Sentenced For Stealing Identity Information From DCF Computers For Use In Medicare Fraud Scam
Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, Henry Gutierrez, Postal Inspector in Charge, United States Postal Inspection Service, Miami Division, Vance Luce, Acting Special Agent in Charge, U.S. Secret Service, John V. Gillies, Special Agent in Charge, Federal Bureau of Investigation (FBI), Miami Field Office, and James K. Loftus, Director, Miami-Dade Police Department, announced today's sentencing of Yenky Sanchez, 25, of Miami, for conspiring to commit health care fraud, in violation of Title 18, United States Code, Section 1349; conspiring to commit authentication feature fraud, in violation of Title 18, United States Code, Sections 1028(a)(3) and (f); and aggravated identity theft, in violation of Title 18, United States Code, Section 1028A(a)(1). U.S. District Judge Cecilia M. Altonaga sentenced Sanchez to 65 months in prison, followed by three years of supervised release. Judge Altonaga also imposed a $5,000.00 fine.

November 21, 2011; U.S. Attorney; District of New Jersey

Former Maxim Healthcare Services Senior Manager Sentenced to Prison for Health Care Fraud
TRENTON, N.J. - A former senior manager and 13-year employee of Maxim Healthcare Services, Inc. ("Maxim"), was sentenced today to five months in prison and five months of home confinement with electronic monitoring for his involvement in the unlicensed operation of Maxim office that billed nearly a million dollars to government health care programs, J. Gilmore Childers, First Assistant U.S. Attorney announced.

Three Bay Area Residents Charged With Oxycodone Trafficking
SAN FRANCISCO - A federal grand jury in San Francisco returned an indictment in which three Bay Area residents are charged variously with conspiracy; possession with intent to distribute oxycodone and oxymorphone; distribution of oxycodone and oxymorphone; and possession of a firearm by a felon, United States Attorney Melinda Haag announced. The prosecution is the result of a seven month, multi-district investigation by the Federal Bureau of Investigation, Drug Enforcement Agency, and Health and Human Services.

Houston Man Arrested for Health Care Fraud
HOUSTON - Endurance Iyamu, 47, of Houston, has been indicted and arrested for devising and executing a scheme to commit health care fraud, United States Attorney Kenneth Magidson announced today. Iyamu will appear for his arraignment and detention hearing on Friday, Nov. 18.

November 16, 2011; U.S. Attorney; Southern District of Texas

Arrested in Florida, Couple to Appear in Houston on Charges of Bankruptcy Fraud
HOUSTON - Husband and wife Michael Giventer and Julia Shvabskaya have been arrested for devising and executing a scheme to commit bankruptcy fraud and defrauding several creditors in Texas and elsewhere, U.S. Attorney Kenneth Magidson announced today. Giventer and Shvabskaya orchestrated the formation of multiple business entities allegedly dedicated to providing healthcare services.

Monroe Physician To Pay $950,000 To Settle Government Civil Fraud Allegations
Millicent Francis-Lane, M.D. has agreed to pay $950,000 to the North Carolina Medicaid Program to resolve False Claims Act allegations, announced Anne M. Tompkins, U.S. Attorney for the Western District of North Carolina and North Carolina Attorney General Roy Cooper. Dr. Francis-Lane owns Union County Women's Care, which has offices in Monroe, N.C.

Miami-Area Patient Recruiter Pleads Guilty to Fraud and Kickback Scheme
WASHINGTON - The owner and president of a Miami-area transportation company pleaded guilty today for her role in a Medicare fraud kickback scheme that funneled patients through a fraudulent mental health company, American Therapeutic Corporation (ATC), announced the Department of Justice, FBI and Department of Health and Human Services.

Former Houston Doctor Sentenced to Federal Prison
HOUSTON - A former Houston physician has been sentenced to 70 months in prison following his convictions for conspiracy to commit mail fraud and mail fraud, United States Attorney Kenneth Magidson announced today.

November 10, 2011; U.S. Attorney; Western District of Washington

South Sound Doctor Convicted Of Multiple Counts Of Healthcare Fraud, Tax Crimes AndDrug Distribution
Antoine Johnson, 40, a former resident of Aberdeen, Washington, and his mother, Lawanda Johnson, were convicted today in U.S. District Court in Tacoma of more than two dozen federal felonies connected with their operation of four health care clinics in Western Washington. Following the three week jury trial, Antoine Johnson and Lawanda Johnson were convicted of 24 counts of health care fraud. Antoine Johnson was also convicted of 4 counts of filing false income tax returns and five counts of illegal drug distribution. Lawanda Johnson was convicted of six counts of filing false income tax returns. The jury deliberated about two and a half days before returning the guilty verdicts. U.S. District Judge Ronald B. Leighton scheduled sentencing for February 3, 2012.

November 10, 2011; U.S. Attorney; District of Maryland

Salisbury Cardiologist Sentenced To Over 8 Years In Prison For Implanting Unnecessary Cardiac Stents
Baltimore, Maryland - U.S. District Judge William D. Quarles, Jr. sentenced cardiologist John R. McLean, age 59, of Salisbury, Maryland, today to 97 months in prison followed by three years of supervised release for six health care fraud offenses in connection with a scheme in which Dr. McLean submitted insurance claims for inserting unnecessary cardiac stents, ordered unnecessary tests and made false entries in patient medical records, in order to defraud Medicare, Medicaid and private insurers. Judge Quarles also ordered that McLean pay restitution to Medicare and the other health insurance programs of $579,070. Judge Quarles also ordered McLean to forfeit $579,070 as proceeds of the crime.

November 10, 2011; U.S. Department of Justice

Fort Lauderdale-area Halfway House Owners Plead Guilty to Kickback Scheme
WASHINGTON - The two managers and operators of a Fort Lauderdale, Fla.-area halfway house company pleaded guilty today for their role in a Medicare fraud kickback scheme that funneled patients through a fraudulent mental health company, American Therapeutic Corporation (ATC), announced the Department of Justice, FBI and Department of Health and Human Services.

Federal Jury Convicts Man On Charges Related To Health Care Fraud Scheme
CHARLESTON, W.Va. - Sargis Tadevosyan, 42, an Armenian citizen, was convicted today by a federal jury in connection with a health care fraud scheme that intended to defraud millions of dollars from Medicare, announced U.S. Attorney Booth Goodwin. After a four-day trial, Tadevosyan was found guilty of two felony counts: conspiracy to commit health care fraud and wire fraud and aggravated identity theft.

November 3, 2011; U.S. Department of Justice

Detroit-Area Man Arrested In Connection With $30 Million Medicare Home Health Scheme
WASHINGTON - A Detroit-area resident was charged and arrested today in the Eastern District of Michigan for his alleged leading role in a $30 million Medicare fraud scheme involving home health services, announced the Department of Justice, the Department of Health and Human Services (HHS), the FBI and the HHS-Office of Inspector General (OIG). In addition to the arrest, law enforcement agents executed search warrants at five locations, seizure warrants for 31 bank accounts related to the scheme and suspended Medicare payments to 16 health care companies associated with the scheme.

November 2, 2011; U.S. Attorney; Southern District of Texas

Medical Equipment Business Owner and Manager Arrested for Health Care Fraud and Aggravated Identity Theft
McALLEN, Texas - A co-owner and manager of a McAllen-area durable medical equipment (DME) business have been indicted by a federal grand jury and charged with conspiracy to commit health care fraud, multiple counts of health care fraud and aggravated identity theft for their alleged roles in a scheme to defraud Medicare and Medicaid through fraudulent billings for power wheelchairs, United States Attorney Kenneth Magidson announced today. Both were arrested approximately an hour and a half ago without incident.

Medical Equipment Business Owner and Manager Arrested for Health Care Fraud and AggravatedIdentity Theft
McALLEN, Texas - A co-owner and manager of a McAllen-area durable medical equipment (DME) business have been indicted by a federal grand jury and charged with conspiracy to commit health care fraud, multiple counts of health care fraud and aggravated identity theft for their alleged roles in a scheme to defraud Medicare and Medicaid through fraudulent billings for power wheelchairs, United States Attorney Kenneth Magidson announced today. Both were arrested approximately an hour and a half ago without incident.

November 1, 2011; U.S. Attorney; Southern District of Texas

Home Healthcare Nurse Sentenced to Federal Prison
McALLEN, Texas - A former home healthcare nurse has been sentenced to federal prison without parole for making false statements relating to health care matters, United States Attorney Kenneth Magidson announced today.

October 2011

October 31, 2011; U.S. Attorney; Southern District of New York

Manhattan U.S. Attorney Recovers $70 Million In Medicaid False Claims Act Lawsuit Against New York City
Preet Bharara, the United States Attorney for the Southern District of New York, announced today that the United States has settled a civil health care False Claims Act lawsuit it filed in January 2011 against the City of New York (the "City") for $70 million. The lawsuit alleges that the City improperly administered the Medicaid personal care services program by authorizing personal care services for Medicaid beneficiaries without the legally required assessments and approvals. The lawsuit further alleges that between 2000 and 2010, the United States paid tens of millions of dollars in reimbursements for these services. The settlement was approved yesterday and entered in Manhattan federal court today by U.S. District Court Judge Jed S. Rakoff.

October 31, 2011; U.S. Attorney; Southern District of Indiana

United States Attorney Hogsett Announces Conviction Of Fort Wayne Woman For Health Care Fraud
INDIANAPOLIS - Joseph H. Hogsett, United States Attorney for the Southern District of Indiana, announced today that Kateen Morris, 44, of Fort Wayne, was sentenced to 12 months in prison and ordered to pay nearly $400,000 in restitution to Hoosier taxpayers by U.S. District Judge William T. Lawrence following her guilty plea to health care fraud. Hogsett also announced that federal law enforcement agents have already recovered $337,999.75 in ill-gotten gains from Morris as part of their investigation.

Local Doctor Gets 11+ Years in Health Care Fraud Scheme
HOUSTON - Houston doctor Christina Joy Clardy, 57, has been sentenced to 135 months in federal prison for her role in a massive health care fraud conspiracy that billed the federal Medicare and Texas Medicaid programs for $45,039,230 over a two-and-a-half-year period, United States Attorney Kenneth Magidson announced today. Clardy was sentenced just a short while ago in federal court in Houston.

Major Principals of DME Company Sentenced for Medicare and Medicaid Fraud
TAMPA, FL-U.S. Attorney Robert E. O'Neill announces that U.S. District Judge Virginia Hernandez Covington sentenced Gregory Bane (41, Valrico), the vice president for operations and IT manager of Bane Medical Services and Oxygen and Respiratory Therapy to three years in federal prison for conspiracy to commit health care fraud, health care fraud, and submitting false claims. Tracy Bane (41, Valrico), the billing supervisor, was sentenced to six months in federal prison, and 18 months of house arrest for conspiracy to commit health care fraud, health care fraud, and submitting false claims.

October 21, 2011; U.S. Department of Justice

Pfizer to Pay $14.5 Million for Illegal Marketing of Drug Detrol
WASHINGTON - American pharmaceutical company Pfizer Inc. has agreed to pay $14.5 million to resolve False Claims Act allegations related to its marketing of the drug Detrol, the Justice Department announced today. The settlement resolves the last of a group of 10 qui tam, or whistleblower, suits that were filed in the District of Massachusetts and two other districts, beginning in 2003. The other nine suits were settled or dismissed in 2009 as part of the government's global resolution with Pfizer, under which the company agreed to pay $2.3 billion dollars to resolve civil claims and criminal charges regarding multiple drugs.

October 20, 2011; U.S. Attorney; Southern District of New York

Twenty-Four Defendants Charged In Health Care Billing Scams That Defrauded Insurance Companies, Medicare, And Medicaid Out Of Millions Of Dollars
Preet Bharara, the United States Attorney for the Southern District of New York, Janice K. Fedarcyk, the Assistant Director-in-Charge of the New York Office of the Federal Bureau of Investigation ("FBI"), Raymond W. Kelly, the Police Commissioner of the City of New York ("NYPD"), Thomas O'Donnell, the Special Agent-in-Charge of the New York Office of the Inspector General, Department of Health and Human Services ("HHS"), and Benjamin M. Lawsky, the Superintendent of the New York Department of Financial Services ("NY DFS"), announced today the unsealing of three separate Indictments, charging 24 defendants with health care fraud. Two of the Indictments charge a total of 22 defendants with participating in fraudulent billing scams that caused no-fault insurance carriers to pay out millions of dollars in reimbursements for medical treatments that were never provided to patients or that were medically unnecessary.

October 20, 2011; U.S. Attorney; Western District of North Carolina

Charlotte Woman Sentenced To 92 Months In Prison For Medicaid Fraud
CHARLOTTE, N.C. - Sarah Lavonne Willis, 49, of Charlotte, was sentenced on Monday, October 17, 2011, to serve 92 months in federal prison, to be followed by three years of supervised release for committing healthcare fraud, money laundering, failure to file tax returns, and possession of a firearm by a convicted felon, announced Anne M. Tompkins, U.S. Attorney for the Western District of North Carolina. U.S. District Judge Max O. Cogburn, Jr. also ordered Willis to pay restitution in the amount of $1,085,041.78 to the North Carolina Medicaid Program and $145,197 to the Internal Revenue Service.

Miami-Area Halfway House Owner Pleads Guilty to Fraud and Kickback Scheme
WASHINGTON - The owner and president of a Miami-area halfway house company pleaded guilty today for her role in a kickback scheme that funneled patients to a fraudulent mental health provider, American Therapeutic Corporation (ATC), and its related company, the American Sleep Institute (ASI), announced the Department of Justice, FBI and Department of Health and Human Services (HHS).

Hogsett Announces Indianapolis Man Charged With Medicaid Fraud
INDIANAPOLIS - Joseph H. Hogsett, United States Attorney, announced today that Ahmed Mohamed Abugroon, 56, of Indianapolis, Indiana, was charged with health care fraud\ following an investigation by the Federal Bureau of Investigation and the Indiana Attorney General's Medicaid Fraud Control Unit.

Sixth Sentenced For Scheme To Defraud Medicare
BATON ROUGE, LA - United States Attorney Donald J. Cazayoux, Jr., announced today that Chief United States District Judge Brian Jackson sentenced Ray Kirt, 45, a resident of New Iberia, Louisiana. Kirt was sentenced to serve forty-two months in prison, to pay restitution of $1,063,873 to Medicare, to forfeit the gross proceeds of his scheme to defraud Medicare, and to three years supervised release after imprisonment. Kirt had previously pled guilty to two counts of health care fraud.

Hospice Owner Charged In Health Care Fraud Scheme
PHILADELPHIA - An indictment1 was unsealed today charging Matthew Kolodesh, a/k/a "Matvei Kolodech", with conspiracy to defraud Medicare of more than $14 million through his home hospice business, announced United States Attorney Zane David Memeger. Kolodesh was arrested this morning.

October 11, 2011; U.S. Attorney; Southern District of Florida

Twenty-Four Indicted In Oxycodone Trafficking And Health Care Fraud Scheme
Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, Mark R. Trouville, Special Agent in Charge, Drug Enforcement Administration, Christopher B. Dennis, Special Agent in Charge, Health and Human Services, Office of Inspector General, José A. Gonzalez, IRS Special Agent in Charge, Director James K. Loftus, Miami-Dade Police Department, Al Lamberti, Sheriff, Broward Sheriff's Office, and H. Frank Farmer, M.D., State Surgeon General, Florida Department of Health (DOH), announced the unsealing of a federal indictment charging twenty four defendants for their participation in, among other things, conspiracy to distribute oxycodone and oxymorphone, and conspiracy to defraud Medicare. Twenty-one of the defendants, including a doctor, a pharmacist and two pain clinic operators are currently in custody after a multi-agency takedown was executed early this morning. Three defendants, Hattie Mae Green, Eliezer Salgado and Ronald Regains, remain at large.

October 11, 2011; U.S. Attorney for the District of Minnesota

Home Health Care Agency Owner Pleads Guilty To Aggravated Identity Theft Related To Health Care Fraud
MINNEAPOLIS-Recently in federal court, the operator of Universal Home Health, a home health care agency located in Golden Valley, pleaded guilty to an offense related to defrauding Medicaid. On October 7, 2011, Mustafa Hassan Mussa, age 56, of Minnetonka, pleaded guilty to one count of aggravated identity theft. Mussa, who was charged on August 18, 2011, entered his plea before United States District Court Judge Susan Richard Nelson.

October 7, 2011; U.S. Attorney; Eastern District of Arkansas

Former Medical Equipment Supplier Pleads Guilty To Health Care Fraud
Little Rock - Christopher R. Thyer, United States Attorney for the Eastern District of Arkansas, announced today the guilty plea of Archibong Edem-Effoing, age 58, of Houston, Texas. Edem-Effoing pled guilty to one count of health care fraud in violation of Title 18, United States Code, Section 1347. At the plea hearing held before United States District Judge Brian S. Miller, Edem-Effoing admitted that no later than December 22, 2007 and continuing through March 1, 2009, he engaged in a scheme to defraud Medicare by stealing the identity of a young Nigerian which he then used to apply for a Medicare Durable Medical Equipment (DME) supplier number. After receiving the DME number, he billed Medicare for arthritis kits and power wheelchairs that, in some cases, were not ordered by a physician, and which in other cases were never delivered.

King of Prussia Man Indicted on Health Care Fraud and Aggravated Identity Theft Charges
Elissa Jo Benoit was charged today by indictment with a total of 75 counts involving health care fraud, aggravated identity theft, aiding and abetting the distribution of controlled substances and distribution of controlled substances by a person at least 18 years of age to persons under 21 years of age, announced United States Attorney Zane David Memeger.

October 5, 2011; U.S. Attorney; Western District of North Carolina

Charlotte Woman Pleads Guilty To Scheme To Defraud Medicaid And Money Laundering
CHARLOTTE, N.C. - Joye Strong, 43, of Charlotte, pled guilty today to money laundering and defrauding Medicaid through her company, Advocating for America, LLC, announced Anne M. Tompkins, U.S. Attorney for the Western District of North Carolina. Joining U. S. Attorney Tompkins in making today's announcement is Attorney General Roy Cooper, who oversees the North Carolina Medicaid Investigations Unit (MIU).

October 5, 2011; U.S. Department of Justice

Johnson & Johnson Subsidiary Scios Pleads Guilty to Misbranding Heart Failure Drug Natrecor
SAN FRANCISCO - Scios Inc., a subsidiary of pharmaceutical giant Johnson & Johnson, pleaded guilty today to a misdemeanor violation of the Food, Drug and Cosmetic Act (FDCA) for introducing into interstate commerce its heart failure drug, Natrecor, for a use that was not approved by the Food and Drug Administration (FDA), the Justice Department announced. The district court also sentenced Scios, which is based in Fremont, Calif., to pay an $85 million criminal fine in accordance with the plea agreement between Scios and the United States.

October 5, 2011; U.S. Attorney; Southern District of New York

Manhattan U.S. Attorney Recovers $995,000 in Damages in Health Care Fraud Lawsuit against Columbia University and New York Presbyterian Hospital
NEW YORK - Preet Bharara, the United States Attorney for the Southern District of New York, announced today that the United States has filed, and simultaneously settled, a civil health care fraud lawsuit against The Trustees of Columbia University ("Columbia"), New York Presbyterian Hospital ("Presbyterian Hospital"), and Dr. Erik Goluboff ("Dr. Goluboff"). The complaint, filed along with the settlement, alleges that Columbia, Presbyterian Hospital, and Dr. Goluboff fraudulently caused Medicare to be over-billed for urological procedures and billed for urological tests that were medically unnecessary. The settlement was approved October 4, 2011, in Manhattan federal court by U.S. District Court Judge Leonard B. Sand, and requires Columbia to pay $995,000 in civil damages under the False Claims Act.

October 5, 2011; U.S. Attorney; Southern District of Indiana

Terre Haute Pharmacist Sentenced For Healthcare Fraud And Money Laundering
TERRE HAUTE - United States Attorney Joseph H. Hogsett announced that John D. Love, 54, of Brazil, Ind., was sentenced today to 51 months of imprisonment for healthcare fraud and money laundering. This follows an investigation by the U.S. Department of Health and Human Services, Office of Inspector General, the Internal Revenue Service, the Federal Bureau of Investigation, and Indiana Attorney General Greg Zoeller's Medicaid Fraud Enforcement Unit.

September 2011

September 30, 2011; U.S. Attorney; Eastern District of Arkansas

Pine Bluff Doctor Sentenced In Health Care Fraud And Misbranding Case
Little Rock - Christopher R. Thyer, United States Attorney for the Eastern District of Arkansas and Patrick J. Holland, Special Agent in Charge of the Food and Drug Administration's Office of Criminal Investigations for the Kansas City Field Office, announced Kelly Dean Shrum, age 43, a Doctor of Osteopathic Medicine who practiced as an obstetrician-gynecologist in Pine Bluff, Arkansas in 2008 and 2009 was sentenced by the Honorable James M. Moody to five years probation on each count of his conviction to be served concurrently. He was ordered to serve 200 hours community service each year of his probation. He was also ordered to pay $204,194.49 restitution and to forfeit $75,000 of proceeds from the health care fraud.

Louisiana-Based LHC Group Inc. Agrees to Pay U.S. $65 Million to Resolve False Claims Act Allegations
WASHINGTON - LHC Group Inc. has agreed to pay $65 million, plus interest, to the federal government to resolve allegations that it violated the False Claims Act for false home healthcare billings to the Medicare, TRICARE and Federal Employees Health Benefits programs, the Justice Department announced today. The company also agreed to be bound by the terms of a Corporate Integrity Agreement with the Department of Health and Human Services - Office of Inspector General.

Jury Convicts DME Business Owner of Health Care Fraud and Aggravated Identity Theft Scheme
McALLEN, Texas - A federal jury in McAllen has convicted the owner of a durable medical equipment business in connection with a health care fraud and aggravated identity theft scheme, United States Attorney José Angel Moreno announced today along with Health and Human Services - Office of Inspector General (DHHS-OIG) Special Agent-in-Charge Mike Fields, FBI Special Agent-in-Charge Cory Nelson and Texas Attorney General Gregg Abbott.

September 28, 2011; U.S. Attorney for the Southern District of Florida

Doral Woman Sentenced To 43 Months For Medicare Fraud
Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, John V. Gillies, Special Agent in Charge, Federal Bureau of Investigation (FBI), Miami Field Office, and Christopher B. Dennis, Special Agent in Charge, U.S. Department of Health and Human Services, Office of Inspector General (HHS-OIG), announced today's sentencing of defendant Isachi Gil, of Doral, Florida. At today's hearing, U.S. District Judge Marcia Cooke sentenced Gil to 43 months in prison, to be followed by three years of supervised release. In addition, Gil was also ordered to perform 300 hours of community service and to pay restitution in the amount of $335,968.

Former Director of IHS Pharmacy Sentenced for Drug Charge
BISMARCK - United States Attorney Timothy Q. Purdon announced that on September 26, 2011, Douglas T. Aos, 56, of Belcourt, North Dakota, was sentenced by United States District Court Judge Daniel L. Hovland on a charge of acquisition of a controlled substance by misrepresentation. Aos pleaded guilty to the charge on June 27, 2011.

September 26, 2011; U.S. Department of Justice

Boston Scientific Subsidiary Guidant Pays U.S. $9.25 Million to Settle False Claims Act Allegations
WASHINGTON - Guidant LLC, a wholly owned subsidiary of Boston Scientific Corp. of Natick, Mass., has agreed to pay the United States $9.25 million to resolve False Claims Act allegations, the Justice Department announced today. The government alleges that the company inflated the cost of replacement pacemakers and defibrillators to federal health care programs by knowingly failing to grant warranty credits and rebates to hospitals for pacemakers and defibrillators that were explanted while covered under a product warranty or another credit program.

Spencer Pharmacist Sentenced For Health Care Fraud
A pharmacist who formerly owned and operated Medicap pharmacy in Spencer, Iowa, and defrauded Medicaid and his own health insurance provider, was sentenced on September 21, 2011, to more than 3 years in federal prison.

September 22, 2011; U.S. Attorney; Southern District of New York

Manhattan U.S. Attorney Announces Settlement With Podiatrist To Pay $800,000 For Submitting False Medicare Claims
Preet Bharara, the United States Attorney for the Southern District of New York, announced that the United States has settled a civil fraud lawsuit it filed against Chaim Chaimowitz, a podiatrist, for submitting false claims to Medicare. According to the lawsuit, Chaimowitz sought reimbursement for non-compensable routine foot care, and billed Medicare for services that could not have been performed in the time period reported. The settlement, entered yesterday in Manhattan federal court by U.S. District Court Judge Robert W.Sweet, requires Chaimowitz to pay $800,000 to the United States under the False Claims Act. Chaimowitz has also entered into an Integrity Agreement with the Office of Inspector General of the Department of Health and Human Services for a five year period that, among other things, requires him to establish and maintain a compliance program and undertake training obligations.

Operation Oxyclean - KC Man Sentenced For Leading $1 Million Drug-Trafficking Conspiracy
KANSAS CITY, Mo. - Beth Phillips, United States Attorney for the Western District of Missouri, announced that a Kansas City, Mo., man was sentenced in federal court today for leading a conspiracy to illegally distribute more than $1 million worth of OxyContin and oxycodone that were obtained, in part, by defrauding Medicare and other health care programs.

Jury Convicts Miami Man For Stealing Identity Information From DCF Computers For Use In Medicare Fraud Scam
Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, Henry Gutierrez, Postal Inspector in Charge, United States Postal Inspection Service, Miami Division, Michael K. Fithen, Special Agent in Charge, U.S. Secret Service, John V. Gillies, Special Agent in Charge, Federal Bureau of Investigation (FBI), Miami Field Office, Dawn E. Case, Inspector General, Florida Department of Children and Families, and James K. Loftus, Director, Miami-Dade Police Department, announced that a jury returned a verdict of guilty on September 12, 2011 against Yenky Sanchez, 25, of Miami. Sanchez was found guilty on one count of conspiracy to commit health care fraud, in violation of Title 18, United States Code, Section 1349; one count of conspiracy to commit authentication feature fraud, in violation of Title 18, United States Code, Sections 1028(a)(3) and (f); and ten counts of aggravated identity theft, in violation of Title 18, United States Code, Section 1028A(a)(1). The guilty verdict against Sanchez follows on the heels of the guilty plea by his co-conspirator, Raul Lazaro Diaz-Perera, 43, of Miami, for the same charges.

September 14, 2011; U.S. Attorney; Eastern District of Pennsylvania

Durable Medical Equipment Company And Owner Sentenced In Medicare Fraud And Kickback Scheme
PHILADELPHIA - Robert Saul, 38, of Philadelphia, was sentenced yesterday to 66 months in prison for a Medicare fraud and kickback scheme involving his company, R&V Medical Supplies, LLC, also located in Philadelphia, announced United States Attorney Zane David Memeger. Saul pleaded guilty June 3, 2011 to conspiracy, 48 counts of health care fraud, six counts of mail fraud, 47 counts of paying illegal kickbacks, and three counts of obstruction of justice.

September 12, 2011; U.S. Attorney; District of New Jersey

Maxim Healthcare Services Charged with Fraud, Agrees to Pay Approximately $150 Million, Enact Reforms After False Billings Revealed as Common Practice
NEWARK, N.J. - Maxim Healthcare Services, Inc. ("Maxim") - one of the nation's leading providers of home healthcare services - has entered into a settlement to resolve criminal and civil charges relating to a nationwide scheme to defraud Medicaid programs and the Veterans Affairs program of more than $61 million. J. Gilmore Childers, Acting New Jersey U.S. Attorney; Tony West, Assistant Attorney General of the Civil Division of the Department of Justice; Tom ODonnell, Special Agent in Charge of the Health and Human Services Office of Inspector General (HHS OIG) region covering New Jersey; Michael B. Ward, Special Agent in Charge of the FBI's Newark Field Office; and Jeffrey Hughes, Special Agent in Charge of the U.S. Department of Veterans Affairs, Office of the Inspector General (VA OIG), Northeast Field Office, announced the developments today.

45 Individuals And One Corporation Charged As Part Of Nationwide Operation By Health Care Fraud Prevention And Enforcement Action Teams (Heat)
Miami - Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, John V. Gillies, Special Agent in Charge, Federal Bureau of Investigation (FBI), Miami Field Office, and Christopher Dennis, Special Agent in Charge, U.S. Department of Health and Human Services, Office of Inspector General (HHS-OIG), announced charges against forty-five (45) individuals and one corporation as part of a nationwide enforcement operation by HEAT Task Force Teams. The 46 South Florida defendants are allegedly responsible for more than $160 million in false billings to Medicare.

September 7, 2011; U.S. Department of Health and Human Services

Medicare Fraud Strike Force Charges 91 Individuals For Approximately $295 Million In False Billing
WASHINGTON - Attorney General Eric Holder and Health and Human Services (HHS) Secretary Kathleen Sebelius announced today that a nationwide takedown by Medicare Fraud Strike Force operations in eight cities has resulted in charges against 91 defendants, including doctors, nurses, and other medical professionals, for their alleged participation in Medicare fraud schemes involving approximately $295 million in false billing.

The Office of Inspector General for the Department of Health and Human Services arrested eleven individuals this morning in Puerto Rico. The arrests were a result of the Federal grand jury's three indictments and one superseding indictment against thirteen individuals for conspiracy to commit health care fraud.

According to one indictment, one of the schemes was led by Dr. José López-Díaz, owner and operator of the health clinic Centro Pediátrico. With co-conspirators, Dr. José López-Díaz fraudulently billed Medicare for over 1.6 million dollars in services not rendered, receiving over 500,000 dollars. Dr. José López-Díaz billed for over 1800 claims for medical treatment provided to patients at a medical institution for which he never worked and for patients he never saw. He also billed for performing a procedure on female patients that can only be performed on males.

September 1, 2011; U.S. Attorney; Northern District of Texas

UTSW and Parkland Resolve Allegations of Improper Physician Supervision of Surgical Residents
DALLAS - The University of Texas Southwestern Medical Center at Dallas; the University of Texas Southwestern Medical Center at Dallas Medical Service, Research, and Development Plan; the University of Texas Southwestern Health Systems a/k/a UT Southwestern Health Systems (collectively "UTSW") agreed to pay the U.S. and Texas $1.4 million to resolve allegations that it, along with the Dallas County Hospital District d/b/a Parkland Health and Hospital System (Parkland), violated the civil False Claims Act and Texas Medicaid Fraud Prevention Act, announced U.S. Attorney James T. Jacks of the Northern District of Texas. The U.S. and Texas contend defendants caused "upcoded" claims to be submitted to Medicare and Medicaid for teaching physician-related items and services between 2004 and 2007. Defendants fully cooperated with the investigation, and by settling, did not admit any wrong-doing or liability.

September 1, 2011; U.S. Attorney; Northern District of Texas

Owners/Operators Of New Horizons Mental Health Facilities Plead Guilty To Federal Charges
DALLAS - Joanna Jones Ellis Kemp, 68, and her husband, Peter A. Kemp, 67, both of Plano, Texas, each appeared in federal court this morning before U.S. Magistrate Judge Irma C. Ramirez and pleaded guilty to one count of conspiracy to commit false statements relating to health care matters, announced U.S. Attorney James T. Jacks of the Northern District of Texas. They each face a maximum statutory sentence of five years in prison and a $250,000 fine. In addition, restitution could be ordered. Sentencing is set for December 21, 2011, before U.S. District Judge Ed Kinkeade.

Eighteen Charged for Medicare Fraud Schemes in Detroit Involving $28 Million in False Billings
DETROIT-Eighteen individuals were charged in court documents unsealed today and yesterday in the Eastern District of Michigan for their participation in a series of separate Medicare fraud schemes involving home health and psychotherapy services, announced the Department of Justice, the Department of Health and Human Services (HHS), the FBI and the HHS Office of Inspector General. According to court documents unsealed today and yesterday in U.S. District Court in Detroit, the separate schemes allegedly involved a total of more than $28 million in fraudulent claims submitted to Medicare for services that were medically unnecessary and/or never provided. Fifteen of the defendants were arrested this morning, one defendant was arrested in July 2011, and two defendants remain at large. In addition, law enforcement agents today executed search warrants at 11 locations and seizure warrants of 28 bank accounts related to the alleged fraud schemes.

Miami-Area Nurse Pleads Guilty in $25 Million Health Care Fraud Scheme
WASHINGTON - Miami-area resident Farah Maria Perez, a registered nurse, pleaded guilty today for her participation in a $25 million Medicare fraud scheme involving false billings for home health services, announced the Department of Justice, the FBI and the Department of Health and Human Services.

August 30, 2011; U.S. Attorney; District of North Dakota

Belcourt Man Sentenced for Drug Conspiracy Charge
BISMARCK - United States Attorney Timothy Q. Purdon announced that on August 29, 2011, Jordan Delong, 25, of Belcourt, North Dakota, was sentenced on a charge of conspiracy to possess with intent to distribute and distribute a controlled substance. Delong pleaded guilty to the charge on May 16, 2011.

August 25, 2011; U.S. Department of Justice

Detroit Occupational Therapist Pleads Guilty to Medicare Fraud Scheme
WASHINGTON - A Detroit-area occupational therapist pleaded guilty today for her participation in a Medicare fraud scheme, announced the Departments of Justice and Health and Human Services. Carol Gant, 66, pleaded guilty before U.S. District Judge Avern Cohn in the Eastern District of Michigan to one count of conspiracy to commit health care fraud. At sentencing, Gant faces a maximum penalty of 10 years in prison and a $250,000 fine.

President of DME Company Sentenced to 12 ½ Years for Medicare and Medicaid Fraud
TAMPA, FL-U.S. Attorney Robert E. O'Neill announces that U.S. District Judge Virginia Hernandez Covington today sentenced Ben Bane (64, Plant City) to 12 ½ years in federal prison for conspiracy to commit health care fraud, health care fraud, and submitting false claims. His prison sentence is to be followed by three years of supervised release. Bane was also ordered to pay $7 million in restitution, a $3 million fine, and a $1,000 special assessment. The court also entered a money judgment in the amount of $5,800,000, representing the proceeds of the health care fraud.

August 23, 2011; U.S. Attorney; Northern District of Texas

Government Recovers More Than $1.6 Million From Eleven Cities To Resolve Allegations They Caused Improper Medicare And Medicaid Ambulance Claims
DALLAS - The Texas cities of Plano, Frisco, Richardson, Mesquite, Celina, DeSoto, Corpus Christi, Cedar Hill, Rowlett, North Richland Hills and University Park (collectively "Cities") have agreed to pay the U.S. and Texas the collective amount of $1.69 million to resolve allegations they violated the civil False Claims Act and Texas Medicaid Fraud Prevention Act, announced U.S. Attorney James T. Jacks of the Northern District of Texas. The U.S. and Texas contend all the Cities caused "upcoded" claims to be submitted to Medicare and Medicaid for city-dispatched 911 ambulance transports between 2006 and 2010. All the Cities fully cooperated with the investigation, and by settling, did not admit any wrongdoing or liability.

Former Chair of Temple's Ophthalmology Department Convicted of Health Care Fraud
PHILADELPHIA - A federal jury today convicted Dr. Joseph J. Kubacki, 62, of Destin, Florida, of 150 counts of health care fraud, wire fraud, and making false statements in health care matters, announced United States Attorney Zane David Memeger. Kubacki was the Chairperson of the Ophthalmology Department of the Temple University School of Medicine and also served as the Assistant Dean for Medical Affairs when, between 2002 and 2007, he caused thousands of false claims to be submitted to health care benefit programs with false charges totaling more than $4.5 million for services rendered to patients whom Kubacki did not personally see or evaluate.

New York Men Convicted of Health Care Fraud in Wheelchair Scam
Oklahoma City, Oklahoma - Late yesterday, a jury found two New York men guilty of committing five counts of health care fraud in connection with the sale of power wheelchairs and wheelchair accessories to Medicare beneficiaries, announced Sanford C. Coats, United States Attorney for the Western District of Oklahoma.

August 18, 2011; U.S. Attorney; District of Minnesota

Two Charged in Medicaid Fraud Schemes
MINNEAPOLIS-Earlier today in federal court, a former employee and the operator of Universal Home Health, a home health care agency located in Golden Valley, were charged with offenses related to defrauding Medicaid. In separate Informations, Stephen Jon Rondestvedt, age 58, of Minneapolis, was charged with one count of health care fraud, and Mustafa Hassan Mussa, age 56, of Minnetonka, was charged with one count of aggravated identity theft.

August 17, 2011; U.S. Attorney; Southern District of Georgia

Armenian Nationals Plead Guilty In Multi-Million Dollar Medicare Fraud And Money Laundering Scheme
Brunswick, GA - Sahak Tumanyan, 44, an Armenian national from Los Angeles, pled guilty Monday before Chief United States District Judge Lisa Godbey Wood to his role in the laundering of $1.5 million defrauded from Medicare through a phony medical business in Brunswick, Georgia. Earlier this month, Arthur Manasarian, 48, also an Armenian national from Los Angeles, pled guilty before Chief Judge Wood to his role in the Medicare fraud scheme.

August 17, 2011; U.S. Department of Justice

Four Individuals Convicted in $4.7 Million Louisiana Medicare Fraud Scheme
WASHINGTON - The owner of a Baton Rouge, La., durable medical equipment (DME) company, a medical doctor and two patient recruiters were each convicted late yesterday for their roles in a $4.7 million Medicare fraud scheme, announced the Department of Justice, the FBI, the Department of Health and Human Services and the Medicaid Fraud Control Unit (MFCU) of the Louisiana State Attorney General's Office.

August 17, 2011; U.S. Attorney; Southern District of Florida

Miami Mother Sentenced to Jail in $12.3 Million Health Care Fraud Scheme
MIAMI, FL - Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, John V. Gillies, Special Agent in Charge, Federal Bureau of Investigation, Miami Field Office, and Christopher B. Dennis, Special Agent in Charge, U.S. Department of Health and Human Services, Office of Inspector General, Office of Investigations, announced yesterday's sentencing of Isabel Torres, 48, of Hialeah, Florida, on health care fraud charges.

August 11, 2011; U.S. Attorney; Western District of Kentucky

Baptist Healthcare, Inc. and Hardin Memorial Hospital to Pay $8,900,000 to Settle Improper Billing of Medicare
LOUISVILLE, KY - The United States Department of Justice, United States Attorneys' Offices for the Western and Eastern Districts of Kentucky, and Office of Inspector General of the Department of Health and Human Services today announce the $8,900,000 settlement with Baptist Healthcare Systems, Inc. and Hardin County, Kentucky d/b/a Hardin Memorial Hospital. As part of this settlement, Baptist Healthcare Systems, Inc. has agreed to pay the United States $5,785,000 to resolve claims that the company improperly billed Medicare. Hardin Memorial Hospital, under the management of Baptist Healthcare Systems, Inc., has agreed to pay the United States $3,115,000 to resolve claims that the hospital improperly billed Medicare.

Miami Woman Is Tenth Person Arrested For Her Role In Leading $27 Million Health Care Fraud Conspiracy
MIAMI -- Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, John V. Gillies, Special Agent in Charge, Federal Bureau of Investigation, Miami Field Office, and Christopher B. Dennis, Special Agent in Charge, U.S. Department of Health and Human Services, Office of Inspector General, Office of Investigations, announced today's arrest of Elizabet Lombera, 39, of Miami Lakes, Florida.

Miami Home Health Nurse Sentenced To Ten Years' Imprisonment For Health Care Fraud
Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, John V. Gillies, Special Agent in Charge, Federal Bureau of Investigation (FBI), Miami Field Office, and Christopher B. Dennis, Special Agent in Charge, U.S. Department of Health and Human Services, Office of Inspector General (HHS-OIG), Office of Investigations, announced today's sentencing of Armando Santos, 46, of Miami. In May 2001, a federal jury in Miami convicted Santos of one count of conspiracy to commit health care fraud, in violation of Title 18, United States Code, Section 1349; four counts of health care fraud, in violation of Title 18, United States Code, Section 1347, and two counts of false statements related to health care matters, in violation of Title 18, United States Code, Section 1035. Chief U.S. District Judge Federico Moreno sentenced Santos to the statutory maximum of 10 years' imprisonment as to each of the fraud charges, and five years' imprisonment as to each of the false statement charges. The counts of conviction are to run concurrent to one another.

August 8, 2011; U.S. Attorney; District of Maryland

Oncologist Pleads Guilty To Purchasing Misbranded Drugs
Isabella Martire, M.D., age 52, of Laurel, Maryland, an oncologist in solo practice in Laurel, pleaded guilty to introducing a misbranded drug into interstate commerce. The guilty plea was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Antoinette V. Henry of the Food & Drug Administration - Office of Criminal Investigations, Metro Washington Field Office; and Special Agent in Charge Nicholas DiGiulio, Office of Investigations, Office of Inspector General of the Department of Health and Human Services.

August 5, 2011; U.S. Attorney; Southern District of Texas

Recruiter in Multi-Million Dollar Health Care Fraud Scheme Pleads Guilty to Conspiracy to Violate the Anti-Kickback Statute
HOUSTON - An accused recruiter in a multi-million dollar health care fraud scheme scheduled for trial on Monday, has instead pleaded guilty to conspiracy to violate the Anti-Kickback Statute, United States Attorney José Angel Moreno announced today. Birdie Leroy Revis, 60, of Houston, pleaded guilty before United States District Judge David Hittner this morning to conspiracy to violate the Anti-Kickback Statute. Trial had been scheduled to begin with jury selection on Monday, Aug. 8, 2011.

August 5, 2011; U.S. Attorney; Southern District of Indiana

Hogsett Announces Indianapolis Man Charged In Health Care Fraud Scheme
INDIANAPOLIS - Joseph H. Hogsett, United States Attorney announced, that earlier this week, William Maultsby, 52, Indianapolis, Indiana, was charged with health care fraud, following an investigation by the U.S. Health and Human Services Inspector General and Indiana Attorney General Medicaid Fraud Control Unit.

Nursing Home Administrator Arrested for Health Care Fraud and Taking Kickbacks
HOUSTON - An employee of a Houston area nursing home has been arrested as a result of the return of a sealed indictment by a Houston grand jury charging him with conspiracy, health care fraud and violations of the anti-kickback statute arising from a scheme to unlawfully bill federal health care programs for ambulance transport, United States Attorney José Angel Moreno along with Texas Attorney General Greg Abbott announced today.

Twenty-Six Indicted In Drug Distribution Investigation That Led To Uncovering MassiveHealth Care Fraud
An indictment returned by a federal grand jury in Detroit was unsealed today, charging twenty-six individuals for their participation in a large-scale health care fraud and drug distribution scheme, United States Attorney Barbara L. McQuade announced today. McQuade was joined in her announcement by Special Agent in Charge Robert L. Corso of the Drug Enforcement Administration, Special Agent in Charge Andrew G. Arena of the Federal Bureau of Investigation, and Lamont Pugh, Special Agent in Charge of the Inspector General of the Department of Health and Human Services.

August 1, 2011; U.S. Attorney; Southern District of Georgia

U.S. Files Suit against United Distributors and an Ohio Company for Defrauding the Medicare Program
SAVANNAH, GA - The United States has filed a complaint under the False Claims Act (FCA) against United Distributors, Inc., Commerce Benefits Group, Inc., Thomas Patton of Avon Lake, Ohio, and Linnie Reaves of Smyrna, Georgia. The complaint, entered today in the United States District Court in Savannah, alleges that the defendants violated the FCA by knowingly causing the submission of false and fraudulent claims for payment to the Medicare program.

Miami Husband and Wife Charged with Home Health Care Fraud
Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, John V. Gillies, Special Agent in Charge, Federal Bureau of Investigation (FBI), Miami Field Office, and Christopher B. Dennis, Special Agent in Charge, U.S. Department of Health and Human Services, Office of Inspector General (HHS-OIG), Office of Investigations, Miami Regional Office, announced the indictment of Elizabeth Acosta Sanz and Luis Alejandro Sanz, both of Miami, Florida, on charges of conspiracy to commit health care fraud, health care fraud, conspiracy to pay kickbacks, the payment of kickbacks, conspiracy to commit money laundering, and money laundering, in violation of Title 18, United States Code, Sections 1349, 1347, 371 and 1956, respectively.

July 27, 2010; U.S. Attorney; District of Connecticut

Walgreens Pays $140,000 To Settle Allegations Under The False Claims Act
United States Attorney David B. Fein and Connecticut Attorney General George Jepsen today announced that The Walgreen Co., a nationwide retail pharmacy chain, has entered into a civil settlement with the federal and state governments in which it will pay $140,000 to resolve allegations that it violated the False Claims Act and common law.

July 26, 2011; U.S. Attorney; Western District of Texas

Seven Former Texas Medicaid Medical Transportation Program Call Center Employees Arrested On Federal Health Care Fraud Charges
United States Attorney John E. Murphy, Special Agent in Charge Cory B. Nelson, Federal Bureau of Investigation -San Antonio Division, Special Agent in Charge George M. Fields, Department of Health and Human Services Office of Inspector General-Dallas Field Division and Texas Attorney General Greg Abbott announced that federal, state and local authorities arrested 18 individuals this morning, including seven former Texas Medicaid Medical Transportation Program San Antonio call center employees, in connection with a health care fraud investigation focusing on more than 1,000 fraudulent transportation claims totaling approximately $200,000.

July 26, 2011; U.S. Attorney; District of Maryland

Salisbury Cardiologist Convicted Of Implanting Unnecessary Cardiac Stents
A federal jury in Baltimore convicted cardiologist John R. McLean, age 59, of Salisbury, Maryland, today on six health care fraud offenses in connection with a scheme in which Dr. McLean submitted insurance claims for inserting unnecessary cardiac stents, ordered unnecessary tests and made false entries in patient medical records, in order to defraud Medicare, Medicaid and private insurers.

July 26, 2011; U.S. Department of Justice

Two Brooklyn, N.Y., Pharmacists Charged in $3 Million Health Care Fraud Scheme
Two defendants who co-owned and operated two Brooklyn, N.Y.,-area pharmacies were arrested today on health care fraud charges for their alleged participation in a scheme to defraud Medicare Part D that resulted in more than $3 million in fraudulent billings, announced the Department of Justice, FBI and the Department of Health and Human Services and its Office of Inspector General.

July 26, 2011; U.S. Department of Justice

U.S. Government Intervenes in False Claims Lawsuit Against Nurses' Registry and Home Health Corporation
The United States has intervened in a lawsuit against Nurses' Registry and Home Health Corporation in the U.S. District Court for the Eastern District of Kentucky, the Justice Department announced today. The lawsuit was filed in March 2008 by two former Nurses' Registry employees, Alicia Robinson-Hill and David Price, and alleges among other things that Nurses' Registry made false claims to Medicare for medically unnecessary home health services.